I'm considering partnering with a non-profit that would manage the sober-living program; with me just providing the house passively for rent on a per bed basis. 

Quote from @Roger D Jones: SamEveryone here is providing great points to consider and if you were my son I would say that at 360k this 'dog needs to get put down'. 

Note I have no affiliation with them except I use them and they have provided me a great VA.

It is also helpful because we are Realtors and real estate investors and it provides a cushion for months that are leaner than others.

Experienced managers can help evaluate potential investments by providing insights on rental demand, market rents, tenant preferences, and location-specific factors that affect leasing success.For example, rental properties need to be close to conveniences like major roads, shopping, and schools.

They provide all the solutions one could ask. 

I'll never stop investing in rentals though and providing properties for my investor friends.

Hoping that someone could provide some guidance on this so I can decide how to proceed?

Starting local offers hands-on experience and control, ideal for learning the ropes, while out-of-state investments can provide better returns but require a reliable property manager.

Didn't mean to insinuate that in my post.I did actually write up a list of properties I'd like to buy around town and provide it to a commercial real estate broker.